Canadian Dollar at Par with US = Purchasing Power
09-20-2007, 08:35 PM
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Originally Posted by westcoast550' post='472209' date='Sep 20 2007, 11:27 AM
With the weakening US $ my sense would be that the US prices may be increasing. I agree about the Canadian dealers asking for reduced selling prices.I'm looking for a new car for my wife right now .She loves the new 335 Coupe but a 535xi would be more appropriate . I have just been reviewing both vehicles on the Seattle dealerships sites,,,, Big savings. HMMMM !
09-27-2007, 05:19 AM
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My Ride: 2008 535i (Canada); Deep Sea Blue Metallic; Creme Leather; M Sport Package; Premium Package; Nav Package.
Porsche Canada dropped their 2008 list prices approximately 10% -- but I believe they are still significantly higher than the U.S.
Yesterday's Globe and Mail had an article talking about whether other luxury car manufacturers like BMW would follow suit (http://www.theglobeandmail.com/servl...CHE26/TPStory/).
Yesterday's Globe and Mail had an article talking about whether other luxury car manufacturers like BMW would follow suit (http://www.theglobeandmail.com/servl...CHE26/TPStory/).
Canadian consumers clamouring for cheaper prices now that the loonie's touched parity finally got thrown some relief yesterday - if they want to buy a new Porsche.
Yesterday, Porsche Cars North America Inc., faced with its well-informed and well-heeled customer base, said it will "listen to the market" and cut its Canadian prices on 2008 models by 10 per cent, including improvements in equipment.
The question is whether other auto companies will follow Porsche's lead, which will also offer a break to car dealers who have been squeezed between their customers and the auto companies that actually set the prices.
Dan Fields, a BMW dealer in Vancouver, worries that all his efforts to build his business could come undone. A growing number of his customers are crossing the border to buy their cars in the United States, where prices are often cheaper. They're becoming increasingly aware of the price differential now that the loonie is almost at par with the U.S. dollar.
Yet Mr. Fields wants people to know that it's not just consumers who are frustrated with the spread in car prices: Car dealers themselves are feeling the pain as customers flee for greener auto pastures.
"Everybody has been waiting to see what everybody else is going to do," Mr. Fields said in a telephone interview. "The big concern right now, from a BMW dealer's standpoint, is long term, with new cars - we need to align the pricing. ... It's an issue: It's something we're talking about every week. We've had conference calls and the dealers are concerned. We'd like to see BMW equalize the prices over time."
With the loonie coming close to parity with the U.S. greenback, Canadians are comparing the prices they pay for everything from cars to books to magazines and clothing. The price gap can be substantial, especially among luxury autos. One recent study found that a trip to a U.S. dealer can save a Canadian buyer almost $14,000 on average.
But while Mr. Fields said he thought Porsche's decision to drop prices would influence BMW Canada Inc., the company itself isn't budging.
Spokeswoman Stacy Morris said it doesn't react to short-term fluctuations in the currency markets. "We believe BMW is priced competitively in the Canadian premium automotive segment."
Still, other auto firms may be more flexible. Jaguar Canada is assessing the situation, spokeswoman Barbara Barrett said. "I know that reaching parity means that we need to look at these kinds of things."
Others in the domestic auto field have found ways to profit from the disparity in pricing.
Avi Zur runs an auto brokerage that has made a business of exporting vehicles that are not available outside Canada. But in the past year, he started to import autos from the United States, nabbing deals for his Canadian customers. Now his importing sales have jumped to 10 per cent of his overall $4.8-million annual revenue, from zero just 12 months ago.
Yesterday, Porsche Cars North America Inc., faced with its well-informed and well-heeled customer base, said it will "listen to the market" and cut its Canadian prices on 2008 models by 10 per cent, including improvements in equipment.
The question is whether other auto companies will follow Porsche's lead, which will also offer a break to car dealers who have been squeezed between their customers and the auto companies that actually set the prices.
Dan Fields, a BMW dealer in Vancouver, worries that all his efforts to build his business could come undone. A growing number of his customers are crossing the border to buy their cars in the United States, where prices are often cheaper. They're becoming increasingly aware of the price differential now that the loonie is almost at par with the U.S. dollar.
Yet Mr. Fields wants people to know that it's not just consumers who are frustrated with the spread in car prices: Car dealers themselves are feeling the pain as customers flee for greener auto pastures.
"Everybody has been waiting to see what everybody else is going to do," Mr. Fields said in a telephone interview. "The big concern right now, from a BMW dealer's standpoint, is long term, with new cars - we need to align the pricing. ... It's an issue: It's something we're talking about every week. We've had conference calls and the dealers are concerned. We'd like to see BMW equalize the prices over time."
With the loonie coming close to parity with the U.S. greenback, Canadians are comparing the prices they pay for everything from cars to books to magazines and clothing. The price gap can be substantial, especially among luxury autos. One recent study found that a trip to a U.S. dealer can save a Canadian buyer almost $14,000 on average.
But while Mr. Fields said he thought Porsche's decision to drop prices would influence BMW Canada Inc., the company itself isn't budging.
Spokeswoman Stacy Morris said it doesn't react to short-term fluctuations in the currency markets. "We believe BMW is priced competitively in the Canadian premium automotive segment."
Still, other auto firms may be more flexible. Jaguar Canada is assessing the situation, spokeswoman Barbara Barrett said. "I know that reaching parity means that we need to look at these kinds of things."
Others in the domestic auto field have found ways to profit from the disparity in pricing.
Avi Zur runs an auto brokerage that has made a business of exporting vehicles that are not available outside Canada. But in the past year, he started to import autos from the United States, nabbing deals for his Canadian customers. Now his importing sales have jumped to 10 per cent of his overall $4.8-million annual revenue, from zero just 12 months ago.
09-27-2007, 06:23 AM
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Originally Posted by rob525i' post='474912' date='Sep 27 2007, 08:19 AM
Porsche Canada dropped their 2008 list prices approximately 10% -- but I believe they are still significantly higher than the U.S.
Yesterday's Globe and Mail had an article talking about whether other luxury car manufacturers like BMW would follow suit (http://www.theglobeandmail.com/servl...CHE26/TPStory/).
Yesterday's Globe and Mail had an article talking about whether other luxury car manufacturers like BMW would follow suit (http://www.theglobeandmail.com/servl...CHE26/TPStory/).
Canadian consumers clamouring for cheaper prices now that the loonie's touched parity finally got thrown some relief yesterday - if they want to buy a new Porsche.
Yesterday, Porsche Cars North America Inc., faced with its well-informed and well-heeled customer base, said it will "listen to the market" and cut its Canadian prices on 2008 models by 10 per cent, including improvements in equipment.
The question is whether other auto companies will follow Porsche's lead, which will also offer a break to car dealers who have been squeezed between their customers and the auto companies that actually set the prices.
Dan Fields, a BMW dealer in Vancouver, worries that all his efforts to build his business could come undone. A growing number of his customers are crossing the border to buy their cars in the United States, where prices are often cheaper. They're becoming increasingly aware of the price differential now that the loonie is almost at par with the U.S. dollar.
Yet Mr. Fields wants people to know that it's not just consumers who are frustrated with the spread in car prices: Car dealers themselves are feeling the pain as customers flee for greener auto pastures.
"Everybody has been waiting to see what everybody else is going to do," Mr. Fields said in a telephone interview. "The big concern right now, from a BMW dealer's standpoint, is long term, with new cars - we need to align the pricing. ... It's an issue: It's something we're talking about every week. We've had conference calls and the dealers are concerned. We'd like to see BMW equalize the prices over time."
With the loonie coming close to parity with the U.S. greenback, Canadians are comparing the prices they pay for everything from cars to books to magazines and clothing. The price gap can be substantial, especially among luxury autos. One recent study found that a trip to a U.S. dealer can save a Canadian buyer almost $14,000 on average.
But while Mr. Fields said he thought Porsche's decision to drop prices would influence BMW Canada Inc., the company itself isn't budging.
Spokeswoman Stacy Morris said it doesn't react to short-term fluctuations in the currency markets. "We believe BMW is priced competitively in the Canadian premium automotive segment."
Still, other auto firms may be more flexible. Jaguar Canada is assessing the situation, spokeswoman Barbara Barrett said. "I know that reaching parity means that we need to look at these kinds of things."
Others in the domestic auto field have found ways to profit from the disparity in pricing.
Avi Zur runs an auto brokerage that has made a business of exporting vehicles that are not available outside Canada. But in the past year, he started to import autos from the United States, nabbing deals for his Canadian customers. Now his importing sales have jumped to 10 per cent of his overall $4.8-million annual revenue, from zero just 12 months ago.
Yesterday, Porsche Cars North America Inc., faced with its well-informed and well-heeled customer base, said it will "listen to the market" and cut its Canadian prices on 2008 models by 10 per cent, including improvements in equipment.
The question is whether other auto companies will follow Porsche's lead, which will also offer a break to car dealers who have been squeezed between their customers and the auto companies that actually set the prices.
Dan Fields, a BMW dealer in Vancouver, worries that all his efforts to build his business could come undone. A growing number of his customers are crossing the border to buy their cars in the United States, where prices are often cheaper. They're becoming increasingly aware of the price differential now that the loonie is almost at par with the U.S. dollar.
Yet Mr. Fields wants people to know that it's not just consumers who are frustrated with the spread in car prices: Car dealers themselves are feeling the pain as customers flee for greener auto pastures.
"Everybody has been waiting to see what everybody else is going to do," Mr. Fields said in a telephone interview. "The big concern right now, from a BMW dealer's standpoint, is long term, with new cars - we need to align the pricing. ... It's an issue: It's something we're talking about every week. We've had conference calls and the dealers are concerned. We'd like to see BMW equalize the prices over time."
With the loonie coming close to parity with the U.S. greenback, Canadians are comparing the prices they pay for everything from cars to books to magazines and clothing. The price gap can be substantial, especially among luxury autos. One recent study found that a trip to a U.S. dealer can save a Canadian buyer almost $14,000 on average.
But while Mr. Fields said he thought Porsche's decision to drop prices would influence BMW Canada Inc., the company itself isn't budging.
Spokeswoman Stacy Morris said it doesn't react to short-term fluctuations in the currency markets. "We believe BMW is priced competitively in the Canadian premium automotive segment."
Still, other auto firms may be more flexible. Jaguar Canada is assessing the situation, spokeswoman Barbara Barrett said. "I know that reaching parity means that we need to look at these kinds of things."
Others in the domestic auto field have found ways to profit from the disparity in pricing.
Avi Zur runs an auto brokerage that has made a business of exporting vehicles that are not available outside Canada. But in the past year, he started to import autos from the United States, nabbing deals for his Canadian customers. Now his importing sales have jumped to 10 per cent of his overall $4.8-million annual revenue, from zero just 12 months ago.
For the sake of all future buyers I hope BMW Canada follows suit.
Cheers
09-27-2007, 07:21 AM
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I hope that BMW will have to do something similar. It comes down to whether or not the Canadian dealers will see a drop in sales. I am sure that there will be an increase in Canadians buying US cars but whether or not the total numbers of Canadian sales will actually decrease is unknown. Right now I think the Canadian price has more to do with demand. In the western provinces there is still a lot of money floating around in the economy. If that doesn't change I don't think BMW will be forced to change their pricing. As a current and future BMW consumer, they will probably lose me to a US car. But I could be easily replaced in a Canadian showroom.
10-02-2007, 04:58 PM
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I just returned from the dealer dropping off my car for a service appointment. They can't order enough cars to meet the current demand.....ie they are not yet motivated to do anything. With the weakening of the US Greenback I'm betting that the US BMW's will see price increases ... shortly........
We are all watching this one !
Cheers
We are all watching this one !
Cheers
10-02-2007, 05:02 PM
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Westcoast550 - there are 4 dealers in the Vancouver area, right? When I lived there in the 80s, there were only 2 - Vancouver Auto on Burrard, and Auto West in the R'mond Auto Mall.
Which one do you use, and are you happy with them? Who is best for service or is it a toss-up? Just curious.
Which one do you use, and are you happy with them? Who is best for service or is it a toss-up? Just curious.
10-02-2007, 05:09 PM
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Originally Posted by tuco' post='477182' date='Oct 2 2007, 08:02 PM
Westcoast550 - there are 4 dealers in the Vancouver area, right? When I lived there in the 80s, there were only 2 - Vancouver Auto on Burrard, and Auto West in the R'mond Auto Mall.
Which one do you use, and are you happy with them? Who is best for service or is it a toss-up? Just curious.
Which one do you use, and are you happy with them? Who is best for service or is it a toss-up? Just curious.
Cheers
10-02-2007, 09:22 PM
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Originally Posted by westcoast550' post='477188' date='Oct 2 2007, 06:09 PM
I use Brian Jessel, apparently they are the largest dealer in Canada. I think they are great to deal with...so far the service is excellent . With the size of inventory they have on hand it is always interesting to see all the different color and option packages for the entire range of cars BMW makes.Hey Tuco maybe they have your car now ??? better check... PM me for contact info if you are interested
Cheers
Cheers
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